Olympique Lyonnais Ordered to Pay €20.8 Million to Botafogo in Legal Setback
Olympique Lyonnais faces a significant financial blow after a Brazilian court ordered the French club to pay €20.8 million to Botafogo for unpaid debts tied to former owner John Textor. The ruling, issued on April 22, 2026, stems from a lawsuit filed by Botafogo in early April seeking recovery of over €125 million in alleged debts.
According to Brazilian judicial documents reviewed by AFP, a judge ruled in favor of Botafogo on April 22, 2026, ordering Olympique Lyonnais to pay 122 million reais, which converts to approximately €20.8 million. The decision relates to loans allegedly provided to Lyon when both clubs were under the control of John Textor through his Eagle Football Holdings structure.
Botafogo had initially claimed more than €125 million in unpaid debts, but the court’s first ruling focused on a portion of that amount. A Botafogo official speaking anonymously confirmed the judge’s decision favored the Brazilian club on 122 million reais. The French club has three days from notification to appeal the decision, which was formally communicated to Olympique Lyonnais on Tuesday, April 21, 2026.
The ruling presents Olympique Lyonnais with a potential payment structure: the club may opt to pay 30% of the total upfront, with the remainder settled in six monthly installments. This option was outlined in the judicial document reviewed by AFP, offering Lyon some flexibility in meeting the obligation.
The financial strain on Botafogo has intensified amid the dispute, with the Brazilian club announcing on April 21, 2026, that it had requested judicial reorganization to facilitate financial restructuring. As part of this process, Botafogo sought the temporary suspension of voting rights for Eagle Football Holdings, accusing the entity of blocking recent investment. This move underscores the broader financial challenges facing the Rio-based club beyond the immediate debt claim against Lyon.
John Textor, the American businessman who founded Eagle Football Holdings, relinquished his role at Olympique Lyonnais in June 2025, succeeded by Michele Kang. Textor remains the majority shareholder of Botafogo through Eagle Football Holdings, though his influence has waned amid ongoing governance disputes. His earlier tenure saw Botafogo win the 2024 Campeonato Brasileiro Série A and Copa Libertadores, achievements highlighted in his professional biography.
The financial implications of this ruling add pressure to Olympique Lyonnais’ ongoing efforts to stabilize its finances amid competitive challenges in Ligue 1. While the club has not publicly disclosed its current cash reserves, the €20.8 million obligation represents a substantial immediate liability that could affect transfer budgeting and operational planning for the upcoming season.
As of Wednesday, April 23, 2026, Olympique Lyonnais has not issued an official statement regarding the ruling or its intentions regarding appeal. The club faces a deadline of Friday, April 25, 2026, to file an appeal if it chooses to contest the decision. Fans and stakeholders await further developments as the situation unfolds.
This legal setback adds to the complex financial landscape surrounding clubs previously associated with John Textor’s Eagle Football Holdings, highlighting the ongoing repercussions of his involvement in multiple football investments across Europe and South America.
